Proptech stands for property technology and refers to the progressive introduction of technology in the property sector. This trend is well on the way of revolutionising an entire industry. The agenda covers everything from property management to house hunting to the complete digitisation of homes: Previous processes are called into question and revamped with the most modern solution approaches.
The property sector is in the process of reinventing itself. Virtual property tours, digital property management and online tools for service-oriented communication between estate agents and clients are no longer pipedreams, but modern methods that are already being used to facilitate processes and optimise existing structures.
After the insurance market and financial sector, it is the property sector’s turn to enter the digital age.
Innovative products and processes
This development is fueled by end client expectations. People bank online and manage their entire lives via their smartphone. Thus it is only reasonable that house hunters also want to view properties virtually. It is the desire for more efficiency and new, effective processes which makes the service-oriented proptech developments so successful.
Furthermore, the technology companies have in the meantime realised that they too can profit from the booming property market. The shortage of housing in sought-after locations is pushing up prices, and an ever-increasing number of people want to invest in this market.
New technologies in the property sector
According to a PWC real estate study, proptech is one of the largest trends on the property market. Online platforms are becoming property exchanges that serve both estate agents and landlords. Digital solutions help with property management. Tools for estate agents facilitate the work by providing software solutions that are tailored especially to the needs of this occupational group.
“Indoor Mapping” enables virtual property tours, while “Home Services” find suitable cleaning services. “IoT Home” transforms the house into an intelligent control centre, where lighting, for example, can be adjusted to suit daylight conditions and adapted to occupant requirements.
Specialised products support the management of building projects or monitor the eco-efficiency of a property. All areas are affected, as everything is potentially profitable. Thus, billions of euros are being invested in proptech.
Proptech in the coming years
The property sector and emerging proptech companies are not yet collaborating in all areas. If both sectors can manage to find more common ground and establish a common innovation culture, e.g. by holding trade fairs and conferences or engaging in joint projects, this will revolutionise the entire industry and lead to an extremely customer-oriented and highly efficient marketplace. The property sector is in the process of renewing itself, and one thing is for certain: its future is digital.